MB-920 Practice Exam 54 — 20 Questions

Question 1

You are reviewing a budget plan import file for Dynamics 365 Finance. The exhibit shows a JSON snippet for a budget plan line. Which of the following is a required field that is missing from this snippet?

Accepted Answer

BudgetPlanLine.BudgetPlanLineDetail. Option A is correct because the BudgetPlanLine.BudgetPlanLineDetail is a required field in the budget plan import file for Dynamics 365 Finance. This field contains the detailed financial data (such as amounts and currency) that must be associated with each budget plan line. Without it, the import process fails as the system cannot map the line to its corresponding financial details.

Answer

BudgetPlanLine.Period

Answer

BudgetPlanLine.Account

Answer

BudgetPlanLineDetail.BudgetModel

Question 2

A company uses Dynamics 365 Finance and Operations. They want to automate the approval of purchase orders based on the total amount. What should they configure?

Accepted Answer

Workflow for purchase orders. Workflows in Dynamics 365 Finance and Operations allow you to define automated business processes, such as approval of purchase orders based on conditions like total amount. By configuring a workflow for purchase orders, you can set up conditional approval rules (e.g., if amount > $5,000, route to manager; if > $20,000, route to director) without custom code. This directly addresses the requirement to automate approval based on the total amount.

Answer

Procurement catalog

Answer

Vendor master

Answer

Purchase order form configuration

Question 3

You are importing sales orders into Dynamics 365 Sales using Data Management. The exhibit shows the structure of the import file. Which field is required for the sales order header but missing?

Accepted Answer

SalesOrderType. In Dynamics 365 Sales, the SalesOrderType field is mandatory for the sales order header when importing via Data Management because it determines whether the order is a journal or a standard order. Without this field, the system cannot process the header record, as it defaults to a specific type required for validation and downstream integration.

Answer

LineTotal

Answer

SalesOrderNumber

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DeliveryAddress

Question 4

A company uses Dynamics 365 Finance and wants to create financial statements for external reporting. Which tool should they use?

Accepted Answer

Financial reporting. Financial reporting (option C) is the correct tool because it is the dedicated, built-in reporting solution in Dynamics 365 Finance for creating GAAP-compliant external financial statements such as balance sheets, income statements, and cash flow statements. It uses the financial dimensions and main accounts from the general ledger to generate highly formatted, regulatory-ready reports without requiring external tools.

Answer

Excel integration

Answer

Management Reporter

Answer

Power BI

Question 5

A purchase order with a total amount of $15,000 is submitted. Based on the exhibit, how many approvals are required?

Accepted Answer

2. The exhibit (not shown here) typically defines approval thresholds for purchase orders. A $15,000 PO exceeds a lower threshold (e.g., $10,000) but is below a higher threshold (e.g., $20,000), triggering two sequential approvals—one from a manager and one from a director—based on the workflow configuration in Dynamics 365 Finance and Operations.

Answer

3

Answer

1

Answer

0 (auto-approve)

Question 6

A manufacturing company uses Dynamics 365 Finance and Operations. They want to automate the generation of purchase orders based on inventory levels falling below a reorder point. Which feature should they configure?

Accepted Answer

Safety stock and reorder point planning. Option B is correct because the 'Safety stock and reorder point planning' feature in Dynamics 365 Finance and Operations uses item coverage settings to automatically generate planned purchase orders when projected inventory falls below the defined reorder point. This is part of master planning, which calculates replenishment proposals based on inventory levels, lead times, and demand forecasts.

Answer

Inventory closing and adjustment

Answer

Inventory cycle counting

Answer

Purchase requisition workflow

Question 7

An organization uses Dynamics 365 Supply Chain Management. They want to ensure that a vendor invoice cannot be posted if the purchase order has not been received. What feature should they enable?

Accepted Answer

Invoice matching validation. Option C, Invoice matching validation, is correct because it enforces a three-way matching policy where the vendor invoice cannot be posted unless the quantities and amounts match the corresponding purchase order receipt. This ensures that the invoice is validated against the received goods before posting, preventing payment for un-received items.

Answer

Invoice hold

Answer

Purchase order approval workflow

Answer

Budget control

Question 8

A batch job in Dynamics 365 Supply Chain Management is recalculating inventory on-hand and is currently at 45% progress. The job has been running for 2 hours. What should the administrator do to analyze performance?

Accepted Answer

Review the batch job history for execution details. Option D is correct because reviewing the batch job history provides detailed execution logs, including step-by-step progress, error messages, and performance metrics such as duration per task. This allows the administrator to identify bottlenecks or failures in the recalculation process without interrupting the job. The batch job history is the primary diagnostic tool for analyzing long-running jobs in Dynamics 365 Supply Chain Management.

Answer

Check the status of other batch jobs

Answer

Configure a batch job alert

Answer

Cancel the job and restart it

Question 9

A manufacturing company uses Dynamics 365 Finance and Operations. They need to track the cost of raw materials as they move through production. Which costing method should they use to ensure that inventory valuation reflects the most recent purchase prices?

Accepted Answer

FIFO. FIFO (First In, First Out) is the correct costing method because it assumes that the oldest inventory items are used first, leaving the most recently purchased items in stock. This ensures that the inventory valuation on the balance sheet reflects the most recent purchase prices, which aligns with the requirement to track costs as raw materials move through production in Dynamics 365 Finance and Operations.

Answer

LIFO

Answer

Weighted average

Answer

Standard cost

Question 10

A company uses Dynamics 365 Commerce. They want to provide personalized product recommendations on their e-commerce site based on customer purchase history. Which AI feature should they enable?

Accepted Answer

Product recommendations. Product recommendations in Dynamics 365 Commerce leverage AI and machine learning to analyze customer purchase history, browsing behavior, and product affinity to generate personalized suggestions on the e-commerce site. This feature is specifically designed to enhance cross-selling and upselling by delivering tailored product lists such as 'Frequently bought together' or 'Customers also viewed'.

Answer

Customer Insights

Answer

Sentiment analysis

Answer

Market analysis

Question 11

A company uses Dynamics 365 Supply Chain Management. They want to enable a vendor to manage their own inventory at the customer's site (consignment inventory). What process should they set up?

Accepted Answer

Consignment inventory. Consignment inventory in Dynamics 365 Supply Chain Management allows a vendor to own stock that is physically located at the customer's site. The customer only pays for the inventory when it is consumed or transferred to their ownership. Setting up the consignment inventory process enables the vendor to manage replenishment and visibility of their stock at the customer location through vendor collaboration features.

Answer

Vendor collaboration

Answer

Purchase order with drop shipment

Answer

Transfer order

Question 12

A retail company uses Dynamics 365 Commerce. They need to offer a discount on a specific product line for a limited time. Which pricing mechanism should they configure?

Accepted Answer

Trade agreements. Trade agreements in Dynamics 365 Commerce are the correct pricing mechanism for offering a limited-time discount on a specific product line. They allow you to define price reductions for a specific product or product category for a defined date range, directly controlling the discount amount and validity period. This is the standard way to create time-bound promotional pricing without altering base prices or requiring complex price group assignments.

Answer

Sales tax

Answer

Product categories

Answer

Price groups

Question 13

A company uses Dynamics 365 Finance. They need to automate expense report processing. Which TWO capabilities are available in Expense management?

Accepted Answer

Credit card transaction import. Credit card transaction import (Option B) is a core capability of Expense management in Dynamics 365 Finance, allowing employees to automatically import corporate credit card charges into expense reports, reducing manual entry. AI-powered receipt matching (Option D) uses machine learning to match receipt images to expense line items, streamlining approval and audit processes.

Answer

Integration with payroll for automatic deductions

Answer

Direct submission to general ledger

Answer

Automatic payment to employees

Question 14

A retail company uses Dynamics 365 Commerce integrated with Finance and Operations. They want to synchronize real-time inventory data between the online store and the back office. Which capability should they enable?

Accepted Answer

Retail Server and Channel Data Distribution. Option C is correct because Retail Server and Channel Data Distribution is the Dynamics 365 Commerce component designed to synchronize real-time inventory data between the online store and the back office. It uses a push-based mechanism to distribute master data and transactional data from the headquarters to channel databases, ensuring that inventory levels are updated promptly for e-commerce operations.

Answer

Commerce Data Exchange: Async Service

Answer

Commerce Data Exchange: Synch Service

Answer

Commerce Data Exchange: Real-time Service

Question 15

A company uses Dynamics 365 Commerce. They want to offer a promotion: 'Buy one, get one free' for specific products. Which pricing engine capability should they use?

Accepted Answer

Mix and match discounts. The 'Buy one, get one free' promotion is a classic mix and match scenario where a specific combination of products (e.g., two items from a defined set) triggers a discount. In Dynamics 365 Commerce, the Mix and match discount engine is designed to handle such promotional offers by defining a set of products and the required quantity to qualify for a discount, including free items. This capability allows the system to automatically apply the discount at the point of sale when the correct product combination is scanned.

Answer

Quantity discount

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Periodic discount

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Total discount

Question 16

Which TWO capabilities are part of Dynamics 365 Finance and Operations core capabilities? (Choose two.)

Accepted Answer

Supply chain management. Supply chain management is a core capability of Dynamics 365 Finance and Operations because it provides end-to-end visibility and control over procurement, inventory, warehousing, and logistics. This module integrates directly with financial management to ensure real-time cost tracking and compliance across the supply chain.

Answer

Customer relationship management

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Human resources

Answer

Marketing

Question 17

Which THREE features are available in Dynamics 365 Supply Chain Management? (Choose three.)

Accepted Answer

Transportation management. Transportation management is a core feature of Dynamics 365 Supply Chain Management that enables businesses to manage inbound and outbound shipments, rate shopping, route planning, and freight reconciliation. It integrates with warehouse and production modules to optimize logistics and carrier selection.

Answer

Project management

Answer

Retail management

Question 18

Refer to the exhibit. You are configuring a general journal in Dynamics 365 Finance. Based on the JSON snippet, what is the purpose of the 'VoucherSeries' field?

Accepted Answer

It defines the number sequence for vouchers.. The 'VoucherSeries' field in a Dynamics 365 Finance general journal configuration specifies the number sequence that will be used to generate unique voucher numbers for journal entries. This ensures each voucher has a distinct identifier, which is essential for audit trails and financial tracking.

Answer

It defines the journal type (Daily, etc.).

Answer

It defines the description of the journal.

Answer

It defines the name of the journal.

Question 19

An organization uses Dynamics 365 Project Operations. They need to track employee time against a project and automatically bill the customer based on the time entries. Which module should they configure?

Accepted Answer

Project management and accounting. In Dynamics 365 Project Operations, the Project management and accounting module is specifically designed to track employee time against projects and automatically generate customer invoices based on time entries. This module integrates time recording with billing rules, enabling automated invoicing from approved timesheets. The other modules lack the project-specific time-to-bill workflow.

Answer

Human resources

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Accounts receivable

Answer

Expense management

Question 20

A company uses Dynamics 365 Finance and Operations. They need to ensure that all purchase orders over $10,000 require approval from a manager. What feature should they configure?

Accepted Answer

Workflows. Workflows in Dynamics 365 Finance and Operations allow you to define automated business processes that route documents, such as purchase orders, for approval based on conditions like amount thresholds. By configuring a purchase order workflow with a condition that triggers approval when the total exceeds $10,000, you ensure manager approval is required for high-value orders.

Answer

Budget control

Answer

Audit policies

Answer

Policy rules

MB-920 Practice Exam 54 — 20 Questions

Exhibit

MB-920 Practice Exam 54 — 20 Questions

Exhibit